Automotive industry
The automotive industry designs, develops, manufactures, markets, and sells motor vehicles, and is one of the world's most important economic sectors by revenue. The term automotive industry usually does not include industries dedicated to automobiles after delivery to the customer, such as repair shops and fuel filling stations. Consumption trends About 250 million vehicles are in use in the United States. Around the world, there were about 806 million cars and light trucks on the road in 2007, consuming over 260 billion gallons of gasoline and diesel fuel yearly. In the opinion of some, urban transport systems based around the car have proved unsustainable, consuming excessive energy, affecting the health of populations, and delivering a declining level of service despite increasing investments. Many of these negative impacts fall disproportionately on those social groups who are also least likely to own and drive cars. The sustainable transport movement focuses on solutions to these problems. The Detroit branch of Boston Consulting Group predicts that, by 2014, one-third of world demand will be in the four BRIC markets (Brazil, Russia, India and China). Other potentially powerful automotive markets are Iran and Indonesia.Paul A. Eisenstein Building BRIC's: 4 Markets Could Soon Dominate the Auto World at TheDetroitBureau.com History The first practical automobile with a petrol engine was built by Karl Benz in 1885 in Mannheim, Germany. Benz was granted a patent for his automobile on 29 January 1886, and began the first production of automobiles in 1888, after Bertha Benz, his wife, had proved with the first long-distance trip in August 1888 (from Mannheim to Pforzheim and back) that the horseless coach was absolutely suitable for daily use. Since 2008 a Bertha Benz Memorial Route commemorates this event. Soon after, Gottlieb Daimler and Wilhelm Maybach in Stuttgart in 1889 designed a vehicle from scratch to be an automobile, rather than a horse-drawn carriage fitted with an engine. They also are usually credited as inventors of the first motorcycle, the [[Daimler Reitwagen|Daimler Reitwagen]], in 1885, but Italy's Enrico Bernardi, of the University of Padua, in 1882, patented a one-cylinder petrol motor, fitting it into his son's tricycle, making it at least a candidate for the first automobile, and first motorcycle;.Georgano, G. N. Cars: Early and Vintage, 1886–1930. (London: Grange-Universal, 1985) Bernardi enlarged the tricycle in 1892 to carry two adults. Crisis in the automotive industry World motor vehicle production By year By country By manufacturer Company relationships It is common for automobile manufacturers to hold stakes in other automobile manufacturers. These ownerships can be explored under the detail for the individual companies. Notable current relationships include: *Daimler AG holds a 20% stake in Eicher Motors, a 10.0% stake in KAMAZ, a 10% stake in Tesla Motors, a 6.75% stake in Tata Motors and a 3.1% in the Renault-Nissan Motors alliance. They are in the process of selling back their 40% stake in McLaren Group. This process will be finalized in 2011. *Dongfeng Motor Corporation is involved in joint ventures with several companies around the world, including: Honda (Japan), Hyundai (South Korea), Nissan (Japan), Nissan Diesel (Sweden), and PSA Peugeot Citroen (France). *Fiat holds a 90% stake in Ferrari and a 30% stake in Chrysler, that can be increased to 51%; with the option of increasing its stake further. *Ford Motor Company holds a 3% stake in Mazda and an 8.3% share in Aston Martin. *Geely Automobile holds a 23% stake in Manganese Bronze Holdings. *General Motors and Shanghai Automotive Industry Corporation (SAIC) have two joint ventures in Shanghai General Motors and SAIC-GM-Wuling Automobile. *Hyundai Kia Automotive Group holds a 38.67% stake in Kia Motors, down from the 51% that it acquired in 1998. *Renault Pars is a joint venture, 51 percent of which belongs to Renault of France. Forty-nine percent of Renault Pars' shares is jointly held by Iran's Industrial Development and Renovation Organization, IKCO and Saipa. The company was established in 2003. *MAN SE holds a 17.01% voting stake in Scania. *Porsche Automobil Holding SE has a 50.74% stake in Volkswagen Group. Due to liquidity problems, Volkswagen Group is now in the process of acquiring Porsche. (Deal due to be completed mid 2011) *Renault-Nissan Motors have an alliance involving two global companies linked by cross-shareholding, with Renault holding 44.3% of Nissan shares, and Nissan holding 15% of (non-voting) Renault shares. The alliance holds a 3.1% share in Daimler AG. *Renault holds a 25% stake in AvtoVAZ and 20.5% of the voting stakes in Volvo Group. *Toyota holds a 51% stake in Daihatsu, and 16.5% in Fuji Heavy Industries, parent company of Subaru. *Volkswagen Group and FAW have a joint venture. *Volkswagen Group and Shanghai Automotive Industry Corporation (SAIC) have a joint venture in Shanghai Volkswagen Automotive. *Volkswagen Group holds a 37.73% stake in Scania (68.6% voting rights), and a 29% stake in MAN SE. *Volkswagen Group has a 49.9% stake in Porsche AG. Volkswagen is in the process of acquiring Porsche, which is due to be completed in mid-2011. *Volkswagen Group has a 19.9% stake in Suzuki, and Suzuki has a 5% stake in Volkswagen. Top vehicle manufacturing groups (by volume) The table below shows the world's largest motor vehicle manufacturing groups, along with the marques produced by each one. The table is ranked by 2009 end of year production figures from the International Organization of Motor Vehicle Manufacturers (OICA) for the parent group, and then alphabetically by marque. Joint ventures are not reflected in this table. Production figures of joint ventures are typically included in OICA rankings, which can become a source of controversy. Notes * Porsche Automobil Holding SE has a 50.7 percent share in the Volkswagen Group. However, Volkswagen Group will acquire Porsche AG, the automotive manufacturer under a new "Integrated Automotive Group". This merger/acquisition is expected to be fully completed in mid-2011. ** Shanghai Automotive Industry Corporation is in the process of selling SsangYong Motor Company to Mahindra & Mahindra. Minor automotive manufacturers There are many automobile manufacturers other than the major global companies. They are mostly regional or operating in niche markets. See also *Alliance of Automobile Manufacturers *Automotive industry by country *Automotive industry crisis of 2008–2010 *Automotive market *Big Three automobile manufacturers *Effects of the 2008-2009 automotive industry crisis on the United States *List of countries by motor vehicle production *WheelsTV References External links *Market Share Auto *Alliance of Automobile Manufacturers *Automotive engineering learning website *All vehicle manufacturers in the world (in Dutch with English etc. translation) *Car makes of the world, 1894—present *Automotive history and photos *Automaker Rankings 2007: The Environmental Performance of Car Companies *List of car trims (car sub models) 1989–present www.ai-online.com Category:Automotive industry